SB Capital seals nearly P300 billion deals

MANILA, Philippines —  The investment banking arm of Security Bank Corp. facilitated nearly P300 billion in capital markets and project finance deals in 2024, cementing its role in driving infrastructure development and accelerating the country’s shift to renewable energy.

In Security Bank’s 2024 annual report, Security Bank Capital Investment Corp. (SBCIC) said that it remained resilient in its business operations and managed to deliver a decent financial performance last year amid global economic headwinds and a muted capital market environment.

“The debt market saw an improvement in terms of both volume and value of corporate bond offerings as issuers tapped the debt capital market space to fund capital expenditure requirements, expansion plans, refinance maturing debt obligations and other general corporate purposes,” it said.

Its landmark transactions included the P80-billion syndicated loan facility for the New NAIA Infrastructure Corp., which will help finance the redevelopment of the Ninoy Aquino International Airport.

It also arranged an P18.2-billion syndicated term loan for three Barracuda Energy Corp.’s 550-megawatt solar project in Pangasinan, described in the report as the largest renewable energy project finance deal in the country to date.

Other significant renewable energy financings included a P4.85-billion loan for Negros PH Solar Inc., the P8-billion wind project for Alternergy Tanay and P4.21 billion in acquisition financing for Hexa Renewables.

SBCIC also underwrote a number of high-profile corporate bond offerings, including P25 billion for SM Prime Holdings, P35 billion for SMC Tollways, P20 billion for San Miguel Corp. as well as P10 billion each for Filinvest Development Corp. and Energy Development Corp.

It played key roles in preferred share issuances for Petron Corp., Ayala Corp. and Vista Land & Lifescapes. It was also the sole domestic lead underwriter for the P5.3-billion initial public offering of Citicore Renewable Energy Corp.

In the international financing space, SBCIC helped raise over $285 million in foreign-currency loans for strategic and energy-related projects.

These include a $70-million top-up loan for Silangan Mindanao Mining Co., a $100-million facility for Prime Energy Resources Development Corp. to support its participation in the Malampaya expansion project and a $115-million social loan for Asialink Finance Corp.

The social loan for Asialink was done in partnership with the Asian Development Bank and HSBC Philippines. Security Bank said it will help finance loans for micro, small, and medium enterprises in the country, including women-led businesses.

“These private debt transactions reflect our commitment to financial inclusion, project development, and supporting the country’s sustainability goals,” the bank said.

Security Bank added that SBCIC’s advisory services also generated steady income, particularly in retainer-based and milestone-driven mandates such as valuations, divestments and strategic partnerships.

Established in October 1995, SBCIC offers a range of investment banking services, including debt capital markets, equity capital markets, project finance, financial advisory and stock brokerage services.